There is one myth that is often prevalent in the minds of separated couples that they need to wait until they’re divorced before considering a property settlement. This is not true and in fact, quite the opposite.
Strict Time Frames for Property Settlements
The time limit for property settlements in a marriage is 12 months following a divorce. For a de facto relationship, a property settlement has to be brought within two years following the end of your relationship.
When Should We Do a Property Settlement Mediation?
As long as you comply with the time limits set out above, there is really no recommended time to take care of the mediation parenting matters. That said, most separated couples wish to finalise this matter as soon as practicable so they’re able to move forward financially.
The usual steps towards a property settlement include:
- identifying what is included in the property pool
- negotiating the division of the property pool by way of a property agreement
- formalising the agreement to achieve a property settlement.
Considering a Property Settlement?
What is Considered in the “Property Pool”?
Typically your property pool will include:
- All the assets held by you and your ex-partner in both joint or separate names such as:
- family home
- investment homes
- all vehicles
- all household effects
- all personal items
- All the assets owned by you or your ex-partner such as:
- a business
- shares in a family business or other investments held under a family trust.
- All liabilities are in joint or individual names.
Importantly it may also take into consideration all property you have held in your own name prior to entering into the relationship, and the property you may have acquired since separation (for example, an inheritance).
How Do I Get a Complete Picture of the Property Pool?
At Mediations Australia, we work collaboratively with accountants and financial advisers who can assist in assessing the total worth of the property pool.
You should also promptly consider estate planning to minimise the risk of your assets returning to your ex-partner in the event of death.
What Should I Do Next?